Business Archives

ACT Research: For-hire market takes small step towards balance

Dana Guthrie - December 24, 2024

COLUMBUS, Ind. – The latest release of ACT’s For-Hire Trucking Index continues to suggest growth is making its way into the for-hire market. The Volume Index decreased 4.9 points in November to 52.0, seasonally adjusted (SA), from 56.9 in October. “The spike last month was likely caused by a surge in demand following hurricanes and the brief ILA port strike, but overall, the US economy remains resilient, and freight volumes are growing,”said Carter Vieth, Research Associate at ACT Research. “Consumers continue to buoy the economy, and for the first time in six quarters, retailers’ inventories are starting to outpace sales after considerable destocking. The looming ILA strike in January and threat of tariffs are likely to pull freight forward, but opaqueness regarding the timing and scale of tariffs may reduce the amount of pre-tariff shipping. While the retail sector is healthy, interest rate sensitive sectors like manufacturing and construction are sluggish. Continued tight financial conditions are likely to slow some volume improvement.” The Capacity Index rose 0.3 points m/m to 50.0 in November, from 49.7 in October. “After two years of weak profitability, for-hire carriers aren’t in the position to add significant new capacity,” Vieth said. “Given the current volume and rate environment, we would anticipate for-hire capacity additions to remain at replacement levels, leaving the index at around current levels.” The Supply-Demand Balance grew more slowly in November to 52.0 (SA), from 57.2 in October, as freight volumes decreased and fleet capacity inched higher. “Private fleet expansion, which is not captured in this indicator, has resulted in a longer period with the market close to balance than in past cycles. Disinflation and lower interest rates will support the consumer outlook, as rising goods demand and a turning inventory cycle have resulted in improved import volumes. Private fleets are handling an increased share of volumes, which has been the sticking point keeping the for-hire market from turning up. A slowdown in private fleet growth is necessary for further improvement in the for-hire market balance,” Vieth said.

TTA recognizes Averitt as a leader in safety and clean diesel innovation

Dana Guthrie - December 24, 2024

COOKEVILLE, Tenn. — Averitt was recognized with multiple awards at the 94th annual Tennessee Trucking Association (TTA) Convention, highlighting the company’s commitment to safety and sustainability. “We are grateful to the Tennessee Trucking Association for these honors,” said Barry Blakely, president and chief operating officer at Averitt. “These awards reflect the dedication of our associates and encourage us to keep raising the bar for safety and sustainability in the industry.” According to a company press release, Averitt received the 1st Place LTL Carrier Safety Award in the category of 15,000,000 miles and greater, as well as the 2nd Place Truckload for Hire Carrier Safety Award in the category of 7,000,000 miles and greater. In addition, the company was honored with the Clean Diesel Leadership Award for its continued efforts in reducing emissions and promoting environmental stewardship. “Averitt’s focus on safety and environmental responsibility is supported by investments in advanced technology, ongoing associate training, and a fleet equipped with fuel-efficient and low-emission vehicles,” the release said. For more information about Averitt’s Sustainability or Safety initiatives, visit Averitt.com/Safety or Averitt.com/Sustainability

TCA asks public to vote on Highway Angels of the Year

Dana Guthrie - December 24, 2024

Today marks the opening of public voting for the prestigious TCA Highway Angels of the Year award and the organization has posted has of the finalists stories to and can cast a a vote. According to the TCA, the annual awards program will take place at TCA’s 2025 Annual Convention this March 15 – 18 in Phoenix, Ariz. and will recognize three professional truck drivers who have demonstrated exceptional courage and courtesy on the nation’s roadways. This year, five outstanding finalists have been selected, and the public is invited to cast their votes to determine the top three drivers who will be crowned TCA Highway Angels of the Year. Andrew Inlow, Maverick Transportation Inc. Jason Corino, Melton Truck Lines. Michael Dorsey, Mercer Transportation Co. Joseph Carroll, Elgin Motor Freight. Daljit Sohi, Triple Eight Transport Inc. The TCA would also like to express its thanks to program Presenting Sponsor, EpicVue, and Supporting Sponsors, DriverFacts and Northland Insurance. To read each Highway Angel Story and place your vote, click here.

BTS: Long-term trend emerging in North American freight trucking

Bruce Guthrie - December 23, 2024

According to the Bureau of Transportation Statistics North American freight data, a long-term trend is emerging between U.S., Canada, and Mexico freight trucking. A Bureau of Transportation Statistics report provides the data behind these trends in North American freight flows, highlighting changes since 2017 in the volume and value of truck traffic between the U.S., Canada, and Mexico. BTS Border Crossing data reveals that, starting in 2017, the trajectory of incoming trucks from Canada and Mexico began to diverge. Since 2000, the number of trucks from Canada have been decreasing while in contrast the number of trucks from Mexico have increased. From 2000 to 2023, the number of trucks from Canada decreased 21.6% from 7,048,128 to 5,526,056 while trucks from Mexico increased 62.6% from 4,525,579 to 7,356,659. Collectively, the data indicate a shift in North American cross-border trucking. The data shows Mexican freight flows are growing faster than Canada. This trend reflects changes in manufacturing, trade patterns, and supply chains in the North American freight market From 2019 to 2023, the number of commercial trucks entering the U.S. from Mexico rose 14.2% from 6,440,255 to 7,356,659 while trucks from Canada fell 2.7% from 5,681,155 to 5,526,056. In terms of dollar value of truck freight, BTS TransBorder data shows a similar trend. Since the pandemic in 2021, the value of freight flows carried by truck with Mexico have increased while simultaneously decreasing with Canada. From April 2020 to October 2024, the value of U.S. freight flows with Canada by truck increased 86.4% from $17.8 billion to $33.1 billion while the same measure of freight flows with Mexico increased 166.3% from $20.8 billion to $55.3 billion. For a detailed breakdown of the composition of commodities by mode and geographic detail, please see recent BTS data spotlight report titled Transportation Commodity Brief: U.S. Freight Flows with Canada and Mexico in Transportation Commodities. From a geographic perspective, the land border port at Detroit handled 1,562,531 incoming trucks in 2023, slightly increasing by 1.4% from 1,541,294 trucks in 2019 for the first time since the pandemic. Commercial truck activity along the Southern land border continued to show robust growth. Laredo, which is the largest gateway for trucking in North America, handled nearly 3 million incoming trucks in 2023 that represented a 24.2% growth from 2019.

SeaCube and Greensee launch revolutionary green leasing solutions for refrigerated transport

Dana Guthrie - December 23, 2024

MONTVALE, N.J. — SeaCube is partnering with Greensee to launch innovative solutions that redefine sustainability in the refrigerated transport sector, according to a media release. “As a global leader in refrigerated intermodal equipment leasing, SeaCube is dedicated to investing in transformative sustainability solutions,” said Gregory Tuthill, CCO, SeaCube Containers. “These initiatives not only help customers meet their rigorous sustainability targets but also significantly reduce the carbon footprint of refrigerated transport.” The collaboration introduces SeaCube’s Green and Net-Zero Reefer Leases, powered by Greensee’s AI-driven CO2 emissions reporting technology, setting a new standard for energy efficiency and environmental responsibility in cold chain logistics. SeaCube is also working with Thermo King a leader in transport temperature control solutions and a brand of Trane Technologies, and CMA CGM to field-test Thermo King’s E-COOLPAC electric genset, one of the first battery-powered refrigerated container gensets in the United States. This zero direct emission battery power technology allows to electrify last-mile refrigerated transport (excluding truck power) and reinforces SeaCube’s commitment to sustainable innovation. The Thermo King E-COOLPAC offers a range of battery modules, as well as extension packs to deliver power ranging from 35kWh to 105kWh and can be fitted or retrofitted to marine container chassis, where a traditional diesel genset can currently fit. The e-genset offers: Zero CO2 and particulate emissions during operation. Renewable energy charging compatibility, further reducing the carbon footprint. Compatibility with Thermo King marine refrigeration units including CFF and Magnum Plus, as well as other brands of ISO1496-2 reefer units. “Providing electric solutions for refrigerated transportation is part of Thermo King’s and Trane Technologies’ overall approach to reducing carbon emissions,” said Claudio Zanframundo, president Thermo King EMEA Truck, Trailer, Bus and Global Marine, Rail and Air. “E-COOLPAC is a diesel genset alternative power source for reefers when they are not connected to grid or vessel power. It allows for lower emissions and adherence to local regulations when transporting refrigerated marine containers from ports to distribution centers, or those involved in daily reefer container transport.” Revolutionizing Reefer Leasing with Energy and Emissions Efficiency Refrigerated containers, or reefers, account for about 10% of a ship’s container capacity but can consume up to 20-30% of a vessel’s total power output, contributing significantly to CO2 emissions. SeaCube’s Green Reefer Leases address this challenge by providing access to advanced energy analytics and optimized asset designs, including: Refrigerated containers equipped with next-generation controllers, enhanced telematics, and efficient compressors. Real-time data analytics to optimize refrigeration operations, accounting for variables such as ambient temperature, cargo type and tradelane. Energy savings and emissions reductions of up to 20%, delivering tangible sustainability and cost benefits. Pacific International Lines (PIL) is also participating in a GHG reporting and reefer fleet optimization pilot sponsored by SeaCube and Greensee. This initiative establishes baseline metrics for decarbonization benchmarking while identifying opportunities for fuel savings and operational efficiency. “Effective GHG reporting for refrigerated transportation contributes to providing PIL with good visibility on our emissions, helps us meet regulatory requirements, and supports our long-term goal of achieving net zero GHG emissions by 2050,” said Lim Chee Wei, general manager, Logistics Division, PIL. Achieving Net-Zero with Carbon Offsets SeaCube’s Net-Zero Reefer Leases enable customers to offset any remaining carbon emissions from transportation. Using precise calculations, SeaCube quantifies total emissions and offers customers the option to neutralize their impact through carbon credits. These credits support initiatives like reforestation, aligning customers’ operations with broader environmental objectives. Driving Sustainability Through Advanced Analytics “Greensee’s advanced analytics empower customers to accurately monitor and report emissions, ensuring compliance while enabling real-time optimization of refrigerated transport,” said Luc Terrel, Greensee founder and CEO. “Our partnership with SeaCube is a pivotal step toward a more sustainable future in cold chain logistics.” Leading the Industry in Sustainability “SeaCube and Greensee are setting the standard for sustainability in the cold chain industry,” Tuthill said. “Through innovative solutions like energy analytics, the electric genset, and the Net-Zero Reefer Lease Program, we are providing practical, impactful pathways to help customers reduce emissions and achieve carbon neutrality.” This partnership underscores SeaCube’s and Greensee’s shared commitment to creating a greener, more sustainable future for the logistics industry. “This e-genset is a game-changer for our operations,” said Fabien Gresy-Aveline, vice president, Container Fleet, CMA CGM. “By transitioning away from diesel, we are taking a significant step toward more sustainable refrigerated transport.”

Expeditors recognizes Averitt with Provider of the Year award

Dana Guthrie - December 23, 2024

COOKEVILLE, Tenn. — Expeditors has recognized Averitt for its outstanding partnership and dedication to service excellence with its Provider of the Year award. “Partnering with Averitt Dedicated has ensured a consistent quality of service within the area’s local pickup and delivery operation,” said Bobby Blanton, manager of cartage for the Americas at Expeditors. According to a company press release, the award highlights the success of a collaboration that began in July 2023, when Averitt launched a dedicated solution to support Expeditors’ operations in Memphis. “The partnership has flourished due to the shared values and cultural alignment between the two companies,” the release said. “Averitt’s dedicated services have played a key role in guaranteeing seamless local pickup and delivery within Expeditors’ district operations.”

DAT’s November report reveals softening truckload volumes

Dana Guthrie - December 23, 2024

BEAVERTON, Ore. — After gaining momentum throughout the year, last month’s spot truckload freight volumes retreated to their lowest point since January, according to DAT Freight & Analytics, which operates the DAT One freight marketplace and DAT iQ data analytics service. According to a DAT press release, the DAT Truckload Volume Index (TVI) declined for all three equipment categories compared to October: Van TVI: 246, down 18% Refrigerated TVI: 204, down 11% Flatbed TVI: 242, down 23% The release noted that the TVI was higher year over year only for reefer freight, up 7% compared to November 2023. The van and flatbed TVI were down 1% and 5%, respectively. “Shippers moved so much freight into the U.S. earlier this year, ahead of potential tariffs and port strikes, that we didn’t see the volumes we might expect in November,” said Ken Adamo, DAT chief of analytics. “The exception was reefer freight. The late Thanksgiving gave grocers a few extra shipping days for fresh and frozen goods.” Spot reefer rate strengthened ahead of the holiday The national average spot rate for reefer freight increased 6 cents to $2.45 a mile, the most since January. The van rate was unchanged at $2.02, and the flatbed rate fell 5 cents to $2.37. The van linehaul rate averaged $1.64 a mile, up 1 cent compared to October. The reefer rate was $2.04, up 7 cents, and the flatbed rate slipped 3 cents to $1.93. Rates are about 5% higher year over year. Contract rates dipped but showed signs of strength National average contract rates changed little last month: Contract van rate: $2.40 per mile, down 1 cents but 11 cents lower year over year Contract reefer rate: $2.74 a mile, unchanged and down 18 cents year over year Contract flatbed rate: $3.03 a mile, down 1 cent and 11 cents lower than last year According to the release, at 0.3%, the DAT iQ New Rate Differential (NRD) for van freight was above zero for the third month in a row for the first time since Spring 2022. The NRD measures changes in the contract market by comparing rates entering the market to those exiting; a positive NRD signals a tightening market and higher rates for shippers. “The NRD suggests that truckload pricing for contract freight is moving higher,” Adamo said. “We don’t expect bold changes quickly, but all indications point to steady rate growth into the first half of 2025.”

FedEx to separate FedEx Freight, creating two industry-leading public companies

Dana Guthrie - December 23, 2024

MEMPHIS, Tenn. — FedEx Corp.’s board of directors has concluded a comprehensive assessment of the role of FedEx Freight as part of its portfolio and has decided to pursue a full separation of FedEx Freight through the capital markets, creating a new publicly traded company. According to a press release, the separation is expected to be achieved in a tax-efficient manner for FedEx stockholders and executed within the next 18 months. “This is the right time to pursue a separation as we respond to the unique dynamics of the LTL market,” said Raj Subramaniam, FedEx Corp. president and chief executive officer. “This announcement is a testament to the strength of the business our team has built, and to our dedication to doing what’s best for our customers, our team members, and our stockholders. Through this process, we will unlock value for our Freight business and position FedEx to create even greater value for stockholders.” According to the release, as two industry-leading public companies, FedEx and FedEx Freight will continue to pursue their growth strategies. The separation will allow for more customized operational execution along with more tailored investment and capital allocation strategies to serve the unique and evolving needs of both the global parcel and LTL markets. They will also maintain the strategic advantages of cooperation on key commercial, operational, and technology initiatives. Customers of both businesses will continue to enjoy the same superior service, speed, and coverage they have come to expect from FedEx. “Over the last 50 years, FedEx has built an unmatched global platform that has produced significant value for our stockholders and opportunities for our team members,” said R. Brad Martin, vice chairman of the board and chairman of the Audit and Finance Committee who led the Board’s oversight of the strategic analysis. “Building upon that powerful foundation, and following a careful assessment of our portfolio, the FedEx Corporation Board is confident that a separation of FedEx Freight will drive continued growth and value creation.” Strategic Rationale In its recently completed assessment, FedEx concluded there are strategic opportunities that arise from separating FedEx Freight into an independent company and substantial benefits from the continuing commercial collaboration of FedEx and FedEx Freight, the release said. Through a separation, both FedEx and FedEx Freight will benefit from: Enhanced Operational Focus and Strategic Execution: Deeper operational focus, accountability, and agility to meet customer needs will better enable both companies to capture profitable growth opportunities and unlock market value. FedEx will continue executing its strategic initiatives, including DRIVE, Network 2.0, and Tricolor. Distinct and Compelling Investment Profiles: Separate public stock listings with distinct stockholder bases will enhance the value proposition for each company. Strong Balance Sheet and Capital Allocation Optionality: Each company will be well-capitalized, with flexibility to invest in profitable growth and return capital to stockholders. Maintained Commercial, Operational, and Technology Synergies: The benefits of the existing FedEx and FedEx Freight relationships will be optimized through commercial agreements between the two entities to maintain operational and service-level continuity. Ongoing collaboration will be designed to improve the value propositions of both companies by accelerating speed, improving coverage, and driving efficiencies that will lower the cost to serve. A Shared Brand: The FedEx brand represents speed, reliability, and trust. These values will extend across both businesses with the new company continuing to operate under the FedEx Freight name. FedEx Value Proposition “FedEx pioneered the express transportation industry more than 50 years ago and remains the industry leader today. In fiscal year 2024, FedEx revenue totaled $78.3 billion across its remaining business segments” the release said. “The company provides a range of rapid, reliable, time- and day-definite delivery and related supply chain technology services to more than 220 countries and territories through an integrated air-ground express network. FedEx is well-positioned to continue to deliver significant value to its stockholders through its transformation and strategic initiatives, focused on reducing the company’s cost to serve while helping customers compete and win with the world’s smartest and most efficient logistics ecosystem. The initiatives underway through DRIVE are expected to create $4 billion in cost savings by the end of fiscal year 2025, while Network 2.0 is targeted to generate savings of $2 billion by the end of fiscal year 2027, supporting enhanced profitability and driving greater flexibility and efficiency across the network. FedEx remains committed to a continued strong balance sheet at both entities while continuing to reduce capital intensity and increase capital returns.” FedEx Freight Value Proposition With revenue of $9.4 billion in fiscal 2024, FedEx Freight is the largest LTL carrier with the broadest network and fastest transit times in its industry, according to the release. The company has deep and long-standing relationships with customers who value choice, simplicity, and reliability. With a focus on safety, facility utilization, revenue quality, and operational efficiency, FedEx Freight has maintained its leading market share position while increasing operating profit by nearly 25 percent on average per year over the last five years. The business has delivered approximately 1,100 basis points of operating margin expansion over the same period. FedEx Freight is expected to benefit from a strong balance sheet that will allow it to maintain and extend its leadership position in the LTL market. Transaction Process The company’s intent is to execute the planned separation through a capital markets transaction, creating two independent publicly listed, industry-leading companies. The transaction is expected to qualify as a tax-free separation for U.S. federal income tax purposes. The company expects to commence the separation process immediately, with the intent to execute the transaction within 18 months, subject to regulatory and certain other conditions, and final approval of the FedEx Board of Directors. Goldman Sachs & Co. LLC is serving as the financial advisor and Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal counsel.

CargoSprint’s bold move: Acquiring Advent eModal to revolutionize freight logistics

Dana Guthrie - December 21, 2024

ATLANTA, Ga. — CargoSprint has acquired Advent Intermodal Solutions LLC. “Our vision has always been to improve the efficiency of global commerce through technology,” said Caro Krissman, CEO of CargoSprint and the newly combined company. “Joining forces with Advent eModal is a unique opportunity to combine two talented and like-minded organizations that have developed highly complementary freight payments and workflow orchestration solutions. Together, we have the capacity to invest even more heavily in our customers’ success and meaningfully accelerate the pace of innovation in the industry.” According to a media release, Advent eModal is the world’s largest port community platform. This fully integrated, strategic combination will expand the breadth of global trade that CargoSprint facilitates, as well as enhance its existing solutions for air, sea and land freight. Founded in 1995, Advent eModal’s offerings remove friction at every point of intermodal equipment interchange. Its proprietary cloud-based platform, eModal®, connects all parts of the shipping process, making it easier for ports, carriers, logistics providers and other stakeholders to move containers, increase equipment utilization, and optimize payment workflows. Like CargoSprint, Advent eModal’s solutions were purpose-built for the freight industry to improve visibility and optimize execution. Advent eModal’s focus on the containerized freight industry provides a powerful complement to CargoSprint’s strength in air cargo workflows. “We’re excited to partner with CargoSprint in this next phase of our journey,” said Parvez Mansuri, founder and former CEO of Advent eModal, who will act as CSO and remain a member of the board of directors of the combined company. “This acquisition marks a new chapter—honoring our legacy with our former partners at SSA Marine while simultaneously turning our focus towards the growth opportunities created as an independent technology company. We’re eager to leverage our maritime and rail expertise to help CargoSprint, Caro and the combined leadership team to grow into new segments and deliver even more powerful solutions to the market.” The acquisition follows Lone View Capital’s strategic investment in CargoSprint earlier this year. “CargoSprint and Advent eModal have a shared heritage as founder-led enterprises that rose to market leading positions by combining deep industry expertise with a passion for innovation. We look forward to supporting the combined company as it continues to drive efficiency in global trade,” said Doug Ceto, partner at Lone View Capital.

Schneider drivers “Live with Purpose” by participating in Wreaths Across America

Dana Guthrie - December 21, 2024

GREEN BAY, Wis. — Schneider National Inc. is continuing to demonstrate its support for veterans as four of its drivers will participated in this year’s Wreaths Across America (WAA) Honor Fleet, delivering wreaths to national cemeteries across the country. For Schneider associates having military experience, this opportunity holds special significance. Among this year’s participating drivers is Patrice Cook, a U.S. Army veteran and one of Schneider’s Ride of Pride drivers, who is once again joining the prestigious Escort to Arlington, which began on December 7. The Escort is traveling down the East Coast, promoting WAA’s mission through public events at memorials and other locations, culminating in a ceremony that was held at Arlington National Cemetery on Dec. 14, Wreaths Across America Day. “Each year, participating in this event is a profound honor,” Cook said. “Bringing wreaths to national cemeteries to honor those who have sacrificed their lives is deeply moving. Being part of the Escort to Arlington and witnessing the support and patriotism of onlookers along the route is incredibly heartwarming. At each stop, we meet people who share their stories and express their gratitude. It’s a reminder of the impact and importance of our mission, and it fills me with pride and humility to be part of such a meaningful tradition.” According to a company media release, Schneider is a responsible company that believes in making a difference in the communities in which its associates live, work and travel – and creating opportunities for them to get personally involved. That’s why, since 2008, driver associates have been delivering wreaths to honor fallen heroes, offering them a meaningful way to give back. With 13% of Schneider associates having military experience. The 2024 WAA theme, “Live with Purpose,” deeply resonates with Schneider associates and reflects their commitment to service. More specifically, the participating drivers shared what this theme means to them. “‘Live with Purpose’ means making a positive impact on our future,” Cook said. “As a Ride of Pride driver, I support my fellow veterans by attending events at care homes, hospitals and other locations that offer support.” Jeff Waggoner, a U.S. Army veteran and Ride of Pride driver since 2022, added, “To me, ‘Live with Purpose’ is about doing what you enjoy and finding fulfillment. Driving the Ride of Pride truck honors those who have served, and it’s rewarding to help other veterans. WAA isn’t just for veterans or drivers; anyone can contribute by volunteering, setting out wreaths or donating.” Bobby Brown, a U.S. Army veteran who has been with Schneider for over 33 years, said, “When I hear ‘Live with Purpose,’ I think of ‘Drive with Purpose’—what I do every day at Schneider. This route is especially important to me, having served in the Army and with many family members in the military. If there’s one load to do in a year, it’s this one.” Doug Huber, a U.S. Marine Corps veteran and driver for Schneider’s Van Truckload offering, shares, “Remembrance is so important to honor fallen or missing veterans and also for all those who are currently serving in our military. I am proud to be part of WAA to do that. Additionally, ‘Live with Purpose’ means to me to reach out to those with a frown and brighten their day somehow, each and every day.” WAA started over 30 years ago and has evolved into a year-long mission to remember, honor and teach the values of freedom and sacrifice. Schneider has played a long-standing role in this important initiative to reinforce the company’s commitment to operating responsibly, living with purpose and honoring those who have served our country, according to the release.

Drivewyze’s Smart Roadways Service now provides virtual messaging to truck drivers in California, Michigan and Nevada

Dana Guthrie - December 20, 2024

PLANO, Texas — Drivewyze, a Fleetworthy company, has expanded its Smart Roadways service with in-cab “virtual alerts” for those driving through California, Michigan and Nevada. “When a participating state sees a problem that a commercial driver is about to drive through, they can let them know through a timely short message,” said Brian Mofford, Drivewyze’s vice president of Government Experience. “Being aware of what’s ahead is a core component of the program and it will help drivers become safer.” According to a company press release, twenty states now utilize Smart Roadways services, which extend the reach of state safety and enforcement messaging directly to commercial truck drivers. Virtual messaging and traffic slowdown alerts are offered to the entire trucking industry free of charge through Drivewyze Free. This allows fleets and drivers — using telematics devices, smartphones, or tablets — to receive an essential set of in-cab safety alerts and advisories in advance of potentially risky areas on the roadway. “Digital messaging direct to commercial drivers is another way our motor carrier officers are working to increase traffic safety and reduce traffic crashes and injuries on Michigan roads,” said Patrick Morris of the Michigan State Police Commercial Vehicle Enforcement Division. “We plan to use this messaging tool before peak holiday travel times or when there are particular driving hazards we want drivers to be aware of.” In Nevada, “virtual alerts will help drivers navigate diverse terrain and challenging driving conditions,” said Nevada Highway Patrol Lieutenant Tappan Cornmesser. “Coupled with our position as a major transportation corridor, initiatives like this are essential. With increased truck traffic and vital interstates running coast-to-coast, these real-time in-cab messages will help prevent crashes and improve safety for all drivers.” Cornmesser noted that targeted notifications for snowstorms, chain controls and high wind advisories, particularly in areas like Reno, Carson City and Tahoe, will keep drivers informed during harsh conditions. Over Thanksgiving, California began sending safety alert messages through the Smart Roadways platform. In a press release the California Highway Patrol issued prior to the holiday, it stated: “Our top priority is the safety of everyone traveling this Thanksgiving,” said CHP Commissioner Sean Duryee. “By leveraging innovative tools like Electronic Logging Devices to communicate directly with commercial drivers, we can provide timely alerts and help prevent crashes before they happen.” The release noted that while Drivewyze Free includes access to agency-sponsored real-time traffic slowdown alerts and other alerts and advisories generated in partnership with select state transportation and enforcement agencies, it also offers core message sets, including Drivewyze-sponsored alerts and advisories for High-Rollover risk areas, Low Bridges, and Mountain alerts (steep grade ahead; chain-up/brake check stations; and runaway ramps).

Transervice Logistics earns “2024 Best Places To Work On Long Island” award from Long Island Business News

Dana Guthrie - December 20, 2024

LAKE SUCCESS, N.Y. — Long Island Business News named Transervice Logistics to its “2024 Best Places to Work on Long Island” Award. “This is the sixth year Long Island Business News has named us one of the ‘Best Places to Work on Long Island,’” said Gregg Nierenberg, Transervice president and CEO. “Every year our employees have the chance to rate our performance as part of the nomination process and it is gratifying as an organization to know that we continue to provide them with the great work environment they want and deserve.” According to a company press release, the survey and awards program identifies and recognizes the state’s best employers and provides organizations with valuable employee feedback. Award winners include both for-profit and not-for-profit large and small companies, as well as government entities with facilities in Nassau or Suffolk County. Honorees are chosen based on a questionnaire of benefits offered, including average salary, health care, paid time off and employee programs, coupled with an online survey of employees. The awards were presented at a celebration on December 4th at Crest Hollow Country Club and winners were featured in a special section inserted into the December 6th issue of Long Island Business News.

Heniff companies makes strategic move with Combo Group acquisition

Dana Guthrie - December 20, 2024

OAKBROOK TERRACE, Ill. — The Heniff family of companies has acquired the Combo Group which is based in Born, Netherlands, and provides transport and logistics, food-grade tank cleaning, and maintenance and repair for its many European customers. “We’re very pleased to welcome our new teammates from the Combo Group,” said Bob Heniff, founder and CEO of Heniff. “Combo shares our customer-focused approach and brings immediate scale to our growing bulk services operations in Europe.” According to a company press release, the acquisition of the Combo Group is Heniff’s second deal in the European bulk transportation services market this year. Combo is strategically headquartered in the southern region of the Netherlands near the Belgian and German borders, one of the busiest transport connections in Europe. From this location, Combo offers trucking, logistics, tank cleaning, and maintenance & repair services. The company also operates a state-of-the-art maintenance location in nearby Geleen, Netherlands and an additional office in Straelen, Germany. Terms of the transaction were not disclosed. “Teaming up with Heniff marks a significant milestone for Combo,” said Jan Van Erp, founder and owner of the Combo Group. “Heniff is an inspiring organization that shares our cultural values and strong commitment to service and safety. By joining forces, we continue to provide our customers, professional workforce, and other key stakeholders with a solid foundation to consistently deliver high-quality solutions.”

DOT marks significant progress on efforts to shore up key supply chains and lays out recommendations for continued success

Dana Guthrie - December 20, 2024

WASHINGTON — As part of the White House Council on Supply Chain Resilience, the U.S. Department of Transportation (DOT) has released a Four-year Review of the Supply Chains for the Transportation Industrial Base, within the White House 2021–2024 Quadrennial Supply Chain Review (QSCR)—an inaugural four-year assessment of progress made strengthening supply chains. According to a press release, when President Biden arrived in office in January 2021, America’s supply chains were in disrepair from the COVID-19 pandemic and decades of underinvestment. Under the leadership of President Biden and U.S. Transportation Secretary Pete Buttigieg, DOT strengthened supply chain resilience by working alongside other agencies, easing freight congestion and improving multimodal connectivity. Thanks to President Biden’s Bipartisan Infrastructure Law, DOT has also made historic investments to modernize ports, rail systems, and highways, increase truck parking near interstates around the U.S., and restore America’s transportation systems. “In less than four years, we’ve gone from supply chain disruptions unlike anything we’ve seen in peacetime, to much higher levels of resiliency and reliability. That work has helped make it possible to move record levels of cargo in and out of the U.S., bring shipping costs down, and ensure essential goods arrive on time,” said U.S. Transportation Secretary Pete Buttigieg. In addition to the historic funding from the infrastructure law, DOT stood up the Office of Multimodal Freight Infrastructure and Policy (Multimodal Freight Office) to oversee the maintenance and improvement of the nation’s freight network and supply chains. This office created DOT’s Freight Logistics Optimization Works (FLOW) program. Programs such as FLOW, which bring together freight carriers, cargo owners, logistics providers, port operators, and trade associations, have successfully improved supply chain visibility and allowed different parts of the supply chain better anticipate shipments. Efficient supply chains enable American businesses to deliver goods faster and reduce costs for consumers. DOT is also working to establish the National Multimodal Freight Network to assist states in directing resources toward improved system performance for the efficient movement of freight on the Network, to inform freight transportation planning, and to assist in the prioritization of federal investment. The FLOW program has grown from zero members in spring 2022 to 86 data-sharing participants. These members include: 11 of the world’s largest ocean carriers Nine of the largest U.S. container ports Ten of the largest US importers 75% of all US container imports and 80% of US container terminal capacity According to the release, while much has been done throughout the four years of the Biden-Harris Administration to revitalize our supply chains, DOT has identified key priority actions to maintain resilience and safeguard the U.S. economy. These recommended actions include: Strengthen domestic manufacturing of port cranes to reduce reliance on foreign suppliers through onshoring initiatives, financial incentives, and regional partnerships with ally and partner nations. Support domestic shipbuilding and nearshoring to boost ship production by considering tax incentives and workforce development programs, while also prioritizing military and commercial shipbuilding to enhance national security. Expand domestic EV manufacturing to focus on increasing the production of batteries and critical components domestically, reducing dependency on foreign entities of concern in international supply chains. This effort will be supported by sustainable mining and recycling practices in collaboration with global partners. Increase supplier diversity in aerospace manufacturing. Improve data transparency to enhance supply chain resilience by expanding the use of the Freight Logistics Optimization Works (FLOW) platform. The release also noted that these strategic actions emphasize the need for collaboration between the public and private sectors to build a more resilient, adaptable, and sustainable transportation network. Through targeted investments, policy alignment, and international partnerships, the U.S. transportation industrial base is positioned to meet future challenges, support national security, and drive economic growth and innovation in the years ahead.

FTR’s Trucking Conditions Index for October reflects a more balanced market

Dana Guthrie - December 20, 2024

Bloomington, Ind. — FTR’s Trucking Conditions Index for October improved to 0.49 from -2.47 in September, indicating improved conditions for carriers. Stronger utilization, lower capital costs, and less challenging freight rates were the main factors. “FTR’s outlook for the trucking market has not changed significantly since last month,” said Avery Vise, FTR vice president of trucking. “Our forecast for freight volume next year is a bit weaker than it was previously, but we also have tightened our capacity assumption a bit based on preliminary government data regarding trucking employment. We still anticipate a modest increase in freight rates that might be just strong enough to disappoint both carriers and shippers. Tariffs on goods imported from Mexico and Canada announced by President-elect Trump could yield some volatility in truck freight demand, but volume likely would balance out over the course of 2025.” FTR still expects the Trucking Conditions Index by the second quarter of next year to be consistently positive through at least 2026. According to an FTR press release, details of the October TCI are found in the December issue of FTR’s Trucking Update, published on November 26. Additional commentary includes a discussion regarding the impact and uncertainty of possible new tariff activity on the supply chain and business decision making. The Trucking Update includes data and analysis on load volumes, the capacity environment, rates, and the economy. The TCI tracks the changes representing five major conditions in the U.S. truck market. These conditions are: freight volumes, freight rates, fleet capacity, fuel prices, and financing costs. The individual metrics are combined into a single index indicating the industry’s overall health. A positive score represents good, optimistic conditions. Conversely, a negative score represents bad, pessimistic conditions. Readings near zero are consistent with a neutral operating environment, and double-digit readings in either direction suggest significant operating changes are likely.

ACT Research: US trailer orders sequentially improved and backlog expanded in November

Dana Guthrie - December 20, 2024

COLUMBUS, Ind. — November net trailer orders, at 20.8k units, were up 23% from October, but 4% below the level accepted in November 2023, according to this month’s issue of ACT Research’s State of the Industry: U.S. Trailers report. “November’s trailer orders bring ytd activity to 139.1k units, down 34% from ytd November 2023’s 211.0k bookings, competing against a better 2023 order environment, lingering pent-up demand, and modest supply chain congestion. Order weakness exhibited in 2024 is made worse when viewed relative to 2023’s fuller backlogs,” said Jennifer McNealy, director–CV Market Research & Publications at ACT Research. Regarding backlog, McNealy added, “For the first time in nearly a year, order intake outpaced build, and by about 6,700 units. As a result, backlogs expanded almost 11% sequentially in November,” McNealy said. “While quotation and order activity have increased seasonally, the challenge is that data continue to tell the story of macro-facing industry segments being particularly hard hit, with OEMs struggling to keep current operations intact, against a much more competitive landscape compared to the past several years as the entire industry competes to book business. Simultaneously, strong Class 8 equipment purchases continue to oversupply the market, thereby dampening for-hire freight rates and limiting capex for new trailers.”

Trucking associtions urge states to defer Advanced Clean Truck rules

Dana Guthrie - December 20, 2024

In a strongly worded letter to a number of governors and a governor-elect, trucking industry leaders are expressing their concern regarding the Advanced Clean Trucks (ACT) rules. The group’s concern is that many in the industry stand to lose everything if the concerns are not addressed and that if President-elect Trump reverses course, despite being a strong opponent of ACT in his previous term in office, the industry could face catastrophic impacts. The letter was jointly issued and signed by Gregory Fulton, president/CEO, Colorado Motor Carriers Association; Kendra Hems, president, Trucking Association of New York; Kevin Weeks, executive director, Trucking Association of Massachusetts; Jana Jarvis, president/CEO, Oregon Trucking Association; Jennifer Blazovic, interim executive director, New Jersey Motor Truck Association; Christopher Maxwell, president/CEO, Rhode Island Trucking Association; Johnny R. Johnson, managing director, New Mexico Trucking Association and Sheri Call, president/CEO, Washington Trucking Association. The letter in full reads: “Dear Governors Polis, Healey, Murphy, Lujan Grisham, Hochul, Kotek, McKee, Inslee and Governor-Elect Ferguson: “On behalf of the trucking industry in each of your respective states, we are writing to express our collective concerns with the Advanced Clean Trucks (ACT) rules, which are set to take effect at the beginning of 2025 and 2027. “In your letter to the Truck and Engine Manufacturers Association on November 8, 2024, you cite the important role ACT plays in our states’ plans to achieve our greenhouse gas emissions reduction goals and the threat of climate change. “To be clear, we fully support these goals, and the trucking industry has worked collaboratively with government partners across the country for years to reduce the emissions from heavyduty trucks. In fact, 60 trucks today equal the output of one in 1988, and, since the implementation of clean diesel technology in 1974, pollutants have been reduced by 99 percent. These reductions are in part due to the trucking industry’s partnership with the Environmental Protection Agency (EPA) SmartWay program. The SmartWay program is a publicprivate partnership with the shared goal of reducing overall emissions and greenhouse gases, cutting fuel use, and improving freight sustainability. Our associations and many of our members voluntarily became partners in the SmartWay program and have worked closely with the EPA since the program was launched in 2004. The program has been an outstanding success as SmartWay companies have avoided emitting170 million metric tons of CO2, 2.8 million short tons of NOx, and 115,000 short tons of PM, which helps protect the environment and keep Americans healthy. “The damage that our industry will incur by implementing ACT on its current rushed timeline will curtail these critical efforts as clean diesel truck availability will become limited, keeping older, heavier polluting trucks on the road. It will also lead to the inevitable loss in jobs and businesses. Rather, we encourage your states to look at an alternative approach, similar to the SmartWay program, which is a voluntary program with a proven record of success and widely supported by the industry. We are asking that the ACT date for implementation be deferred in order to ensure that our dealers and trucking companies are not unduly harmed, and to provide for an opportunity to work together to find a solution that works toward our state’s environmental goals. “The situation on the ground has changed since ACT was adopted. The extended recovery from the COVID-19 pandemic diminished resources for manufacturers, dealers, and operators alike. The entire supply chain shifted to prioritize essential services and investments. While our industry can adapt and comply with reasonable regulations, ACT has already significantly impacted dealer operations well ahead of the official start date. “From the West Coast to the East Coast, economic and structural limitations severely limit the American trucking industry. By and large, interstate electric infrastructure is completely lacking. Take New York for example, since ACT’s passage in 2021, not a single publicly available charging station has been built for medium and heavy-duty vehicle charging statewide. And while truck operators in Washington, California, and Oregon appreciate the continued attempt to secure federal funding for an EV truck charging corridor along Interstate 5, the reality is that it will take years to complete. We need this infrastructure now. “We are also cognizant of a changing political environment. As ACT rules were initially pursued, they met a strong opponent in President Donald Trump’s administration—which passed a 2019 resolution effectively removing California’s legal authority to set vehicle emissions rules and set zero-emission vehicle mandates. By all indications, with President Trump’s history of comments and regulations regarding emissions and electric vehicles, it is within reason to believe his administration will renew his, since lapsed, 2019 resolution and ultimately pull the Clean Air Act waiver from the Environmental Protection Agency. David Heller, Senior VP of Government Affairs for the Truckload Carriers Association (TCA), has already indicated that national groups are prepared to discuss emissions regulations with a new Trump presidency. “If the Trump administration is only going to reverse course, is it worth the collateral damage of trying to implement these ill-timed and likely fatal regulations? Rather, we stand ready to have meaningful conversations on actions the industry can take today to immediately reduce emissions. “Trucks are the backbone of our nation’s economy. Communities across the country depend largely on trucks to move their goods. A census bureau report found that, in 2017, the latest year with available data, trucks transported 71.6% of all goods in the United States. This equates to $10.4 trillion. In other words, trucking is the largest single mode form of goods transportation by a longshot. When the trucking industry suffers, so to do all the sectors of the economy that rely on it. Access to critical goods, medicines, and care devices are at-risk. Major infrastructure projects and essential municipal services will be delayed. Even clean energy projects—from solar to wind—won’t move forward without trucks. None of this happens without trucks. “Right now, dealers across the country are struggling to find a way to navigate this situation. Many will not survive the economic impact of these rules. Many will shut down after being in business for generations. Many will cut jobs. Many will lose everything. “At our core, the greater American trucking industry supports the goals of ACT. We are not pushing back because we’re opposed to sustainable change. It is possible to work together to develop a commonsense solution which supports each of our states’ business and environmental goals. “Once we ensure “business-as-usual” for truck operators, dealers, and manufacturers and a true commitment to a shared approach to reducing emissions, then we can take meaningful steps towards getting more electric trucks on the road. Collectively, we welcome the opportunity to sit down to discuss this situation, but let us be clear, we are running out of time.”

Seasonal slump: Spot market prices dip in line with expectations

Dana Guthrie - December 20, 2024

Broker-posted spot rates in the Truckstop system decreased for all equipment types during the week ended December 13 (week 50) in line with seasonal expectations, especially given the timing distortion due to a late Thanksgiving. According to FTR, after a solid gain in the prior week, refrigerated spot rates fell sharply as is typical for the second week after Thanksgiving. Dry van spot rates also declined as they usually do during the second week after Thanksgiving, although the decrease was much smaller than usual. Total Load Availability Total load activity declined 9.5% after rebounding from the Thanksgiving lull in the previous week. Volume was up about 12% from 2023’s week 50 and about 8% versus last year’s second week after Thanksgiving. Total truck postings rose 14.1% – the largest increase in 13 weeks. The Market Demand Index – the ratio of load postings to truck postings in the system – fell from the prior week’s elevated level but otherwise was still the highest in more than a month. Total Spot Rates The total broker-posted spot rate decreased 3.4 cents after rising more than 2 cents in the previous week. Rates were marginally (0.2%) higher than they were during both 2023’s week 50 and last year’s second week after Thanksgiving. During the current week – i.e., the week before Christmas – dry van and refrigerated spot rates usually decline week over week while flatbed spot rates usually rise. The week including Christmas invariably sees very strong rate increases – often the strongest of the year – due to capacity shortfalls. The final week of the year typically sees continued spot rate strength for van equipment, but flatbed’s rate performance is inconsistent. Dry Van Spot Rates Dry van spot rates declined 2.5 cents after rising in the three previous weeks. The decrease was the smallest for the second week after Thanksgiving since at least 2008. Rates were 3.7% higher than 2023’s week 50 – the same as the prior week’s y/y comparison – and 2.4% higher than 2023’s second week after Thanksgiving. Dry van declined 7.2%. Volume was 4.1% higher than last year’s week 50 but was nearly 4% below last year’s second week after Thanksgiving. Refrigerated Spot Rates Refrigerated spot rates fell more than 13 cents, which was in line with seasonal expectations after an unusual increase in the previous week. Refrigerated spot rates invariably fall sharply during the second week after Thanksgiving. Rates were more than 6% above 2023’s week 50 and nearly 4% higher than 2023’s second week after Thanksgiving. Refrigerated loads fell 20%. Volume was nearly 7% above last year’s week 50 but just 2.4% above last year’s second week after Thanksgiving. Flatbed Spot Rates Flatbed spot rates decreased just under 2 cents, precisely reversing the increase in the previous week. Rates were close to 3% below both 2023’s week 50 and last year’s second week after Thanksgiving. Flatbed loads decreased 9.6%. Volume was around 23% higher than both last year’s week 50 and last year’s second week after Thanksgiving.

Is this a good time to buy a truck? Consider these factors before putting money down

Cliff Abbott - December 20, 2024

“Is this a good time to buy a truck?” It’s a question heard often in the industry, and the answer is usually the same: “Maybe … but then again, maybe not.” This is obviously not a very satisfactory answer, but the truth is that whether you’re thinking about adding another truck to a small fleet or buying your first truck and striking out as an owner-operator, there are numerous factors to take into consideration. Consider capacity and rates. When it comes to the freight market, capacity rules. Capacity, or the number of trucks available to haul freight, is the “supply” side of the supply / demand equation. The more freight that needs to be moved, the more demand there is for trucks to haul that freight. For the past couple of years, the supply of available trucks has been too high; this has kept freight rates low. In fact, rates have been so low for so long that thousands of carriers — mostly one- or two-truck outfits, but also some larger ones — to leave the industry. If current signs are correct, however, things are beginning to change. The trucking industry is about to enter a growth period in the next truck-freight cycle. The conditions for buying a truck and starting a trucking business are improving. One indicator that now might be a good time to buy a truck is that spot rates are looking better. According to DAT Freight and Analytics, which hosts the country’s largest load board, November spot rates for dry van loads were up 0.5% from a year ago on the average, while flatbed spot rates were up 2.0% over November 2023 rates. Refrigerated spot rates were down 1.7% compared with a year ago, but analysts believe they should rebound nicely once harvesting commences in the new year. A Dec. 16 report from industry analyst FTR Transportation Intelligence pointed out that consumer prices rose in November, “with food prices notably contributing to producer-level inflation.” Commentary included with the report also pointed out that mortgage rates have been declining, a good sign for the housing market and the flatbed industry. Another interesting statistic mentioned in the FTR release was Applications for New Businesses, which surged by 5.5% in November. That’s the largest increase since April of 2021 — and a good sign that confidence in the economy is growing. Interest rates could drop in the near future. If mortgage rates are falling, then interest rates on loans for trucking equipment can’t be far behind. Those rates may soon have reason to decline further. The Federal Open Market Committee, the branch of the Federal Reserve that sets the interest rate range for money that commercial banks borrow and lend their excess reserves to one another, was scheduled to meet this week, on Dec. 18. Economists predict they will cut interest rates by another .25%. Some economists are urging caution, claiming that a further cut in interest rates could spur inflation. That’s not necessarily a bad thing for trucking, however, if inflation results in more freight to haul — which will increase the demand side of the freight equation. Used truck prices are falling. While freight rates are slowly beginning to rise and there’s a possibility that interest rates might come down, used truck prices are still falling from their previous record highs. According to data received from industry analyst ACT Research, the number of used trucks sold in November increased by 24% from November 2023 levels. The average used truck sold in November was priced 4% lower than a year ago and had 1% fewer miles, PLUS, the average used truck was 2% younger in age. Inventories are still at record high levels, a good sign for potential buyers. The recent presidential election may have impacted both U.S. economic factors and used truck sales, as consumer confidence in the economy has risen. It’s possible that some November sales were made by buyers who waited for the election results before investing, but no one knows for sure. Prices for new trucks will rise. While future prices of used trucks aren’t certain, it IS certain that the prices of new trucks will be going up. That’s because government mandates for both fuel economy and emissions take effect with the 2027 models. The Environmental Protection Agency’s (EPA) new standards make manufacturers responsible for the increased usable life of each truck. OEMs will most likely respond by increasing the length of warranty coverage, charging a higher price upfront for the additional maintenance work. Because buyers are expected to “pre-buy,” stocking up on equipment before the new standards and higher costs go into effect, new truck prices for 2025 and 2026 models are expected to be higher, and some buyers will turn to the used truck market. When that happens, used truck prices should begin climbing again. Numerous factors impact the freight business. So, while freight rates are slowly rising, used truck prices are down and interest rates are improving, the window for starting a new trucking business may be easing open. The caveat, however, is that success isn’t guaranteed. Some good carriers fail in a good market, while some poorly run carriers succeed in a down market. Management, especially decision-making ability, local markets and good, old-fashioned luck are still in the equation. One other factor that will impact the trucking business in 2025 is the cost of diesel fuel. The average U.S. cost per gallon of on-road diesel is $3.49, according to the U.S. Energy Information Administration (EIA). That price is down 53 cents from a year ago and $1.33 from two years ago. The EIA projects that crude oil prices will remain stable throughout 2025, so diesel prices should remain constant. President-elect Trump made energy independence a part of his election message and is expected to increase U.S. oil production, as he did in his first term. However, fuel prices can be impacted by global events, such as the ongoing military conflicts in the Middle East and Ukraine, and by weather events. In other words, there’s no “sure-fire” prediction. It’s important for carriers to have a fuel surcharge policy — a mechanism to pass along higher costs to customers — in case diesel prices rise. An internet search will bring up tables used by other carriers, or a carrier can make their own. Carriers that deal with brokers must understand how fuel prices impact profitability and incorporate that information into load decisions. Depending on the source of information, the long drought in trucking profitability may be entering a new phase that could be very beneficial for potential business owners. As trucking conditions change, the next few months could offer the starting point some entrepreneurs have been waiting for.

Congress passes NDAA with key provisions championed by American Trucking Associations

Dana Guthrie - December 19, 2024

WASHINGTON – The American Trucking Associations is applauding the passage of the National Defense Authorization Act that includes language for which ATA strongly advocated to implement reforms improving military base access, increase security for sensitive military freight and continue oversight of the Global Household Goods Contract; the legislation now heads to the president’s desk to be signed into law. “All of these wins for trucking will benefit motor carriers as well as our national security,” said Ed Gilroy, ATA’s chief advocacy and public affairs officer. “These successes are particularly noteworthy during a deeply divided Congress and were made possible due to our commitment to bipartisanship and deep relationships on both sides of the aisle.” Base Access According to an ATA press release, getting through the gates at U.S. military bases is a challenge for truck drivers and motor carriers, including those that regularly move service members, deliver personal packages or transport arms and ammunition. Last year, ATA’s Moving and Storage Conference, the Government Freight Conference and their respective members worked with Congressmen John Garamendi (D-California) and Mark Alford (R-Missouri) to secure a provision in the NDAA intended to create a sensible, uniform base access process while maintaining robust security standards. This year’s NDAA continues to keep the pressure on the Department of Defense to implement these changes. “Whether carriers are hauling arms and ammunition or household goods, getting onto a base to deliver or pick up military freight has often been a hassle for truck drivers even though they are thoroughly vetted and routinely access secure facilities on their routes,” said Mike Matousek, director of the ATA Government Freight Conference. “A workable, consistent standard across military installations is part of the solution. We appreciate our congressional champions continuing to push DoD to move forward with these important reforms.” “With more than 300,000 military families relocating each year, efficient and consistent access to military bases for movers and crew members is essential to meeting their needs while also supporting military readiness,” said Dan Hilton, executive director of the ATA Moving and Storage Conference. “We applaud Congress for including this provision, and we welcome DoD’s engagement with movers and other industries who support national security.” Security for Sensitive Freight DoD requires motor carriers to comply with numerous rules in order to transport any military freight. There are also additional safety and security requirements specifically for a class of freight called TPS (Transportation Protective Services), which includes AA&E (Arms, Ammunition, and Explosives), that motor carriers must abide by to haul those sensitive shipments. Recently, DoD proposed to allow the tendering of certain TPS shipments to unqualified, non-TPS motor carriers and logistics providers during surges in AA&E transportation. It is unlikely that a non-TPS motor carrier that has never previously met the necessarily high security thresholds for AA&E shipments and has never moved such shipments before would have the experience and operational protocols in place to safely move these sensitive goods, according to the release. Following the ATA Government Freight Conference’s Call on Washington in May, the draft NDAA included a provision to preempt this shortsighted DoD proposal to waive longstanding critical safety and security requirements to transport small arms and ammunition. Similar language was included in the NDAA that passed Congress. “It’s not a stretch to suggest that only DoD-approved munitions haulers should haul DoD munitions, and our message has resonated with Congress,” Matousek said. “We are so thankful to Rep. Sam Graves (R-Missouri) for filing the amendment, to Readiness Subcommittee Ranking Member John Garamendi (D-California) for his bipartisan support, and to Readiness Subcommittee Chairman Mike Waltz (R-Florida) for engaging DoD on this issue.” Global Household Goods Contract Program ATA’s Moving and Storage Conference has been sounding the alarm about the serious flaws with the GHC Program, according to the release. Unless corrective action is taken, military readiness will be degraded and additional stress will be placed on servicemembers and their families during relocations. This issue was raised repeatedly during the Moving and Storage Conference Call on Washington in September. “The moving industry is proud to provide members of the armed forces and their families with the highest level of service and support during their relocations,” Hilton said. “We are committed to working together with Congress and DoD to resolve challenges associated with the GHC.” The NDAA included provisions to increase oversight of TRANSCOM by requiring: 1. An evaluation of the management and oversight of the GHC and the Defense Personal Property Program by Nov 1, 2025 2. An assessment of the GHC’s initial transition by Dec. 31.